The chemical industry in India is one of the pillars supporting the country’s economy and its manufacturing and export sectors. Over the years, India globalized and started producing and providing various chemical products including petrochemicals, fertilizers, and specialty chemicals. Not only domestic policies but also commitment to a number of international conventions and treaties that the country has been a party in, which relate to controlling harmful chemical production and usage as well as protecting the environment and people, have influenced the growth of the chemical industry in India. These treaties have been very instrumental in determining India’s trade policies and practices, the industrialization processes and the governing mechanisms of the chemical industry in the country.
Key Global Conventions Shaping India’s Chemical Trade and Policies
Chemical Weapons Convention (CWC)
India is among the first ratifying countries of Chemical Weapons Convention (CWC), a disarmament treaty which forbids the development, production, stockpiling and use of chemical weapons. India signed the CWC in 1993, reiterating its position on nuclear non-proliferation. For enforcing the provisions of the CWC, India also brought CWC Act 2000 into force which paved the way for operationalising the controls on the chemicals specified in the treaty.
India has also created the National Authority for Chemical Weapons Convention (NACWC) which acts as a link between India and the Organisation for the Prohibition of Chemical Weapons (OPCW). The NACWC also oversees the implementation of the CWC in India. It monitors the non-military end use of chemicals, regulates chemical industries associated with materials in the CWC schedules, and manages in-country CWC compliance activities that require OPCW inspections. This approach has enhanced India’s image as a nation which is active in global affairs and is serious about the safety of toxic household chemicals and non-proliferation.
Join With Us
Rotterdam Convention
The Past With Focus On Current Trade Policy Of India Recent History Of The Rotterdam Convention is also one of the important treaties which has impacted To summarize not overemphasis on significant provisions of chemical trade regulation by india. India joined this convention in 2006, … This is a convention which makes prior informed consent mandatory for exporting and importing certain dangerous goods and pesticides so as to prevent any country from these harmful goods without prior information and consent from them.
The Department of Chemicals and Petrochemicals of India (DCPC) has been designated as the Designated National Authority (DNA) for the purposes of the Rotterdam Convention. They are tasked with processing export notifications and validating chemicals covered under the convention. Throughout the year 2022, the department processed around 125 numbers of export notifications illustrating the strong impact of the convention on the chemical trade of India. This regulatory framework not only brings about more clarity in the chemical trade around the world but also enhances India’s image as a reliable and responsible country in the exports.
Stockholm Convention
The United Nations created the Stockholm Convention on Persistent Organic Pollutants to shield humanity and the environment from dangerous factors that pose hazard pollutants that easily remain for a long period. India also ratified this convention in the year 2006 in order to ensure that there’s control and total withdrawal of the deliquescent products. The focus of the treaty is on those pollutants which are non degradable in nature and are highly harmful to the health laboratory of people as well as the environment e.g., DDT, Polychlorinated biphenyls and certain industrial solvent.
While India has procured certain exemptions including the usage of DDT for anti-malarial purposes in certain endemic regions, the Stockholm Convention has limitations and bans of certain categories of chemicals termed as POPs in the country. The Department of Chemicals and Petrochemicals actively participates in discussions on chemical substances that may be added to the international treaty, ensuring that the worldwide dialogue represents India’s views.
This has resulted in a conundrum within the Indian chemical industry, trying to minimize environmental risk, in producing new safer products, rather than continuing the production of existing ones. Similarly, though being a developing nation, commitment to the Stockholm Convention has provided a window for Indian firms to access new markets as long as they respect international environmental obligations.
SCOMET Regulations
The licensing regime of India for the purpose of exporting dual use chemical, equipment and technologies is provided under the Special Chemicals, Organisms, Materials, Equipment and Technologies (SCOMET) list. This is in consonance with India’s larger non-proliferation agenda and includes a plethora of items which can have both commercial and military applications. Exporting these chemicals requires special permissions, the Department of Chemicals and Petrochemicals is engaged in processing requests for SCOMET chemicals.
The SCOMET rules have arranged the planned export of sensitive chemical composition in such a manner that it facilitates India to practice non-proliferation policies across the globe without restricting its chemical exports. This is very necessary to preserve the integrity of the state and also to avoid possibilities of any misuse of chemicals which have dual purpose other than usual trade practices; that is, for the growth of the economy and for trade of such specific chemicals.
Basel Convention on Hazardous Wastes
Apart from the foregoing treaties, India is already part of the Basel Convention on the Transboundary Movements of Hazardous Wastes and Their Disposal. The main objectives of this convention are to limit and reduce the generation of hazardous wastes and to facilitate the environmentally sound management of hazardous wastes. It also provides restrictions on the transboundary movement of hazardous waste, so that developed countries do not export their wastes to developing countries.
As a result of the implementation of the Basel Convention, India has put in place policies and procedures that enhance the management of hazardous wastes in the country, especially in the control of wastes emanating from the chemicals industry. This prevents damage to the environment as well as places the Indian manufacturing sector as one that cares for the environment in the global context.
Read our Book Here: The Complete Book on Distillation and Refining of Petroleum Products (Lubricants, Waxes and Petrochemicals)
Impact on India’s Chemical Industry
These international conventions have impacted the chemical industry in India significantly and comprehensively. The legal picture has changed, and firms increasingly have to meet global demands in the field of production and trade in chemicals and environmental protection. Some key consequences are as follows:
- Improved protection of safety and the environment: Indian chemical producers are already required to meet advanced safety and protection of the environment levels particularly in relation to handling dangerous goods and wastes. This has enhanced industrial safety standards and lessened the adverse effects of chemical manufacturing on the environment.
- Increased control of chemicals in international trade: The conventions have led to greater control over the trade in hazardous chemicals. They now have to meet additional requirements and follow additional procedures to trade with any country, thus ensuring that they conduct these activities openly and within the law.
- The ever-increasing penchants towards use of safer options: Chemical restrictions imposed by the Conventions such as the Stockholm Convention has urged the chemical industry in India to get inventive and find safer substitutes for the harsh chemicals. This trend towards sustainability has not only been positive towards the planet but has also elevated the competitiveness of the Indian chemical companies in the world economic stage.
- Enhanced government and industrial relations: In order to apply these conventions there should be necessitated relations of the government offices including the Department of Chemicals and Petrochemicals along with the specific industries. This cooperation has not only enhanced compliance to the set standards but also improved the practices within the sector.
Conclusion
A startling change has occurred within the chemical sector of India largely due to the various obligations assumed by the country in respect of international treaties regarding safety of chemicals, protection of the environment and arms control. With the signing of international accords such as the Chemical weapons convention, the Rotterdam Convention, the Stockholm convention and the Basel convention – India has not only strengthened her regulatory regime but has also forecasted her image as a global player who is responsible and optimistic.
Reach and compliance of these rules, create problems for the Indian chemical industry but at the same time provide leeway for its growth in terms of innovation, safety and globalization by exploring best practices. It is the conviction that the future growth of the chemical sector in India will come with a need to promote economic growth within the sector while keeping sustainability in the growth strategies without compromising the sector’s global expectations.